Capital Investment Entrant Scheme

1 Objective

The objective of the Scheme is to facilitate the entry for residence by capital investment entrants (the entrant), i.e. persons who make capital investment in Hong Kong but would not be engaged in the running of any business here.

2 Scope of the Scheme

The Scheme is applicable to:-

• Foreign nationals (except nationals of Afghanistan, Albania, Cuba and Democratic People's Republic of Korea);
• Macao Special Administrative Region (Macao SAR) residents;
• Chinese nationals who have obtained permanent resident status in a foreign country;
• stateless persons who have obtained permanent resident status in a foreign country with proven re-entry facilities; and Taiwan residents.

3 Eligibility Criteria

To qualify for admission under the Scheme, the entrant must:

• Be aged 18 or above when applying for entry under the Scheme;
• Have net assets of not less than HK$6.5 million to which he is absolutely beneficially entitled throughout the two years preceding his application;
• Have invested within six months before submission of his application to the Immigration Department, or will invest within six months after the granting of approval in principle by the Immigration Department, not less than HK$6.5 million in permissible investment asset classes (except Certificates of Deposit which must be invested within the latter period) as detailed in page "Permissible Investment Asset Classes";
• Have no adverse record both in Hong Kong and country/region of residence; and
  Be able to demonstrate that he is capable of supporting and accommodating himself and his dependants, if any, on his own without relying on any return on the permissible investment assets, employment or public assistance in Hong Kong.

4 Permissible Investment Asset Classes

• Real estate
  
  The entrant may invest in commercial, industrial or residential properties, including land and pre-completion properties in Hong Kong. There is no restriction on the number of properties bought for the purpose of the Scheme.
  
• Financial assets
  
  The entrant may invest in one or a combination of the following types of financial assets:
1. Equities - shares of companies that are listed on the Hong Kong Stock Exchange and traded in Hong Kong dollars;
2. Debt securities - denominated in Hong Kong dollars including fixed or floating rate instruments and convertible bonds which are issued or fully guaranteed by the HKSAR Government, the Exchange Fund, the Hong Kong Mortgage Corporation, MTR Corporation Limited, Kowloon-Canton Railway Corporation, Hong Kong Airport Authority and other corporations, agencies or bodies wholly or partly owned by the HKSAR Government as may be specified from time to time; or by companies referred to under (A) above.
3. Certificates of Deposits - denominated in Hong Kong dollars issued by authorized institutions as defined in the Banking Ordinance with a remaining term to maturity of not less than twelve months at the time of purchase (such purchase should take place after approval in principle has been given by the Immigration Department for the entrant to join the Scheme and that such instruments, on reaching maturity, should be replaced by Certificates of Deposits with a remaining term to maturity of not less than twelve months or by assets in other permissible investment asset classes).
4. Subordinated debt - denominated in Hong Kong dollars issued by authorized institutions under paragraphs 3(k) and 3(m) of the 3rd Schedule to the Banking Ordinance.
5. Eligible Collective Investment Schemes

5. Change in Value of Investment

• Not required to top up the value of his investment in either asset class should the value of his total investment under the Scheme fall below the requisite minimum level of HK$6.5 million.
• Not allowed to withdraw any capital gain from his investment if its market value rises above the requisite level.
• Rental income from the qualifying property and cash dividend income and interest income derived from permissible financial assets can be retained by the entrant and need not be ring-fenced under the Scheme.
• Free to switch his investments from one permissible asset class to another (e.g. from real estate to financial assets or vice versa) provided that the entire proceeds from the sale of the initial assets are reinvested.
• He should keep a record of every change to his investment portfolio for the purpose of applying for extension of stay in Hong Kong.

6. Entry of Dependants

• May be allowed to bring in their dependants (i.e. spouse and unmarried dependent children under 18 years of age) provided that the entrant is capable of supporting and accommodating his dependants on his own without relying on any return on the permissible investment assets, employment or public assistance in Hong Kong. The entry of dependants will however be subject to any other policy application.